Melbourne has the highest concentration of dealers and is likely to be hardest hit, but it is believed high profile Sydney dealer group Suttons may lose its dealerships in Waitara and Homebush. Suttons was contacted for comment.

Elsewhere O & H Holden in Kyogle, NSW, and McLeod’s Whyalla in South Australia have also reportedly lost their franchises.

The company relies heavily on Commodore sales to drive numbers through dealers.

Roughly a third of its total sales are locally made products, whereas Ford has successfully weaned itself off the Falcon and Territory.

Holden sales are down by more than 10 per cent this year, following an 8 per cent decline last year.

Twenty years ago, one in five Australians who bought a new car chose a Holden. So far this year that has dropped to seven out of 100.

A senior automotive researcher who declined to be named said consumer “intent to purchase” a Holden has plummeted in recent years, as buyers turn to imported SUVs.

“They are just not on people’s radars any more. They’ve got a huge carpark of owners but loyalty is really low,” he said.

The next generation Commodore, built in Europe, won’t generate the same level of sales as the locally-made vehicle. Photo: Supplied.Source:Supplied

He said it was inevitable that the brand’s sales were no longer enough to keep so many dealers afloat.

“They missed when Australians moved on from football, meatpies and Holden cars. They’ve recognised now, but it’s too late.”

Mr Jamieson said changes were necessary to ensure the company had “the right dealer network in the right places to meet the needs of our customers, today and tomorrow”.

He said the decision hadn’t been made lightly.

“This will be a challenging period for those dealers impacted and their staff. Just as throughout the wind-down of our manufacturing operations, we are trying to put our people first and help them wherever we can,” he said.

“We are supporting our dealers and their teams in a number of ways including redeployment, retraining and support services.”